"Sec. 8. Before any lease or permit is issued under the provisions of this Act, the applicant may, as guaranty of good faith in filing his application and for the satisfactory compliance with the terms and conditions of the lease or permit and the payment of rental charges due thereon, be required to deposit with the Director of Forestry a cash bond, a Philippine National Bank Bond, or a bond of the Government of the Philippines, or any political subdivision thereof in any amount to be determined by the Director of Forestry with the approval of the Secretary of Agriculture and Commerce. In case the bond required exceeds two hundred pesos, a bond duly executed by a reputed surety company may be accepted, but in such case it shall be increased by not less than twenty-five per centum nor more than seventy-five per centum in the discretion of the Director of Forestry. The bond may be confiscated by the Government in case of any violation on the part of the lessee or permittee of any of the terms of the lease or permit.

"Within one year from the approval of the lease of permit, the lessee or permittee shall put up at least one head of large cattle belonging to him for every five hectares of pasture land applied for: Provided, That the lessee or permittee shall at all times keep the number required. Failure to do so shall cause the automatic cancellation of the lease or permit.

"Section 11. Any person, corporation, or association of persons who occupies or uses any part of the public domain for grazing purposes without lease or permit, in violation of the provisions of this Act, or who, having obtained such lease or permit uses said part of the public domain for agricultural purposes, shall be punished by a fine of not less than one thousand pesos nor more than two thousand pesos or by imprisonment for not more than six months, or both, in the discretion of the court. In case of a corporation or association, the president, managing director or manager thereof shall be held criminally liable. Any lease or permit herein granted shall also be automatically cancelled upon violation of any of the provisions of this Act or of any rules or regulations promulgated thereunder.